Shuka Minerals (AIM:SKA) announced it has completed its second diamond drill hole at the Kabwe zinc mine project.
The hole, KBDD02, located on the No.2 ore body, reported substantial zinc mineralisation below the existing workings.
It returned 9.79% zinc over 15.5m (from 251.2m to 266.7m) with a XRF reading of 45.7%, and the full 67.50m interval to the end of the hole averaged 3.08% zinc.
"It is also encouraging to have a much wider orebody than first envisaged - 67m of mineralisation into the host dolomite is very pleasing," Richard Lloyd, chief executive of Shuka, said.
In terms of geology, the mineralisation is described as hosted in weakly brecciated to semi‑massive haematitic ironstone with probable willemite and lesser carbonate zinc minerals.
Drilling is already underway on a third hole to test lateral extensions, and the company noted it expects to update the market as drilling advances.
Equity raise
Separately, Shuka announced it had raised gross proceeds of £150,000 through a subscription of 3.75m new shares at 4p per share from an African-based mining investor.
The share subscription was issued on the same terms as a placing announced on 13 January, with 3.75m warrants also being issued alongside the subscription. The warrants are exercisable at 8p per new and valid for three years.
